Abstract
This paper investigates how COVID-19 is impacting different accommodation types, and whether travellers' choices regarding accommodation type are affected by the need for physical distance. Study 1 shows that travellers are very reluctant to book shared flats on Airbnb during the pandemic. However, full flats – controlling for price levels - are preferred to hotel rooms. Study 2 clarifies the process behind the increased choice for full flats, i.e., the need for physical distance. In Study 3, we actively manipulate physical distance and show that assuring physical distance will reduce the concerns towards hotel and shared flat options. Apart from enlightening the psychological process behind accommodation choice, the study offers operators actionable suggestions on how to maximise bookings despite the pandemic.
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